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Real Estate Principles Unit 8 multiple choice 2 (10 thru 20)

Total questions: 11

Worksheet time: 6mins

Name
Class
Date
1.

How would a loan for the purchase of a residence appear on the buyers closing statement?

a)

Credit to buyer, debit to seller

b)

Debit to buyer, credit to seller

c)

Credit to buyer

d)

Debit to buyer

2.

Which of the following is regarded as a recurring cost in a closing statement?

a)

Escrow fees

b)

Recording fees

c)

Impound accounts

d)

Premiums for title insurance

3.

A buyer who wishes to insure title to real property when it is purchased, should secure a(n)

a)

Guarantee of title

b)

Abstract of title

c)

Certificate of title

d)

Title insurance policy

4.

Which of the following title insurance policies protects against all risks?

a)

Standard policy

b)

Extended policy

c)

A.L.T.A. policy

d)

No policy insures against all risks

5.

When buying a home, a purchaser was given a grant deed and a standard policy of title insurance. Which of the following is warranted by the seller, but is not covered by the standard policy of title insurance?

a)

The grantor is legally competent

b)

The grantor actually signed the deed

c)

The grand tour has placed no undisclosed liens against the property

d)

There are no forged deeds in the chain of title

6.

Which of the following is not covered by title insurance?

a)

A zoning, ordinance, regulation, or plan

b)

Loss due to a missing signature of a spouse on the deed to community property

c)

Unpaid county property tax, not shown on the policy

d)

Incompetence of a former seller

7.

Which system of land description employees meridians and baselines?

a)

Metes and bounds

b)

Public Land Survey System

c)

Subdivision system

d)

Lot, block, and tract system

8.

County governments levy taxes through

a)

Property taxes

b)

Special assessments

c)

Transfer taxes

d)

All of the above

9.

An example of an AdvilAn example of an ad valorem tax would be?

a)

Income tax

b)

Estate tax

c)

Bridge toll

d)

Property tax

10.

How do special property tax assessments differ from annual property tax assessments?

a)

Annual assessments have priority over special assessments

b)

Special assessments are imposed only by local authorities

c)

Judicial foreclosure is required for unpaid special assessments

d)

Special assessments provide for local improvements

11.

After a property is declared tax-defaulted for failure to pay property, taxes, the occupant of the property

a)

Must vacate immediately

b)

May pay rent to the state of California

c)

May continue to reside on the property unhindered

d)

Is freed of tax obligations immediately